AUD/USD: bulls regather with 0.8000 on their radars

Currently, AUD/USD is trading at 0.7964, up 0.15% on the day, having posted a daily high at 0.7990 and low at 0.7897.

AUD/USD is back on the offensive again after bears capped the positive job report attempts at the 0.80 handle. The dollar is trailing with a miss in the manufacturing sector and further enquiries into Trump's business affairs:

"According to a recent report by Bloomberg, Special Counsel Robert Mueller, who is investigating the ties between the Donald Trump campaign and Russia in last year’s election, is expanding the probe to look into a broad range of transactions involving Trump’s businesses as well as those of his associates," explained Eren Sengezer, editor at FXStreet. 

Elsewhere, stocks don't like the news and the yen is strong, holding up risk. WTI is also lower although metals are green across the board and supportive of the Aussie. AUD/USD remains on track on the upside while US yields are back below water, down -1.33% at 2.2395% in the benchmark 10-year.

Fundamentally, the labour conditions were also supportive of the Aussie with a robust report and should keep the Aussie bid until next week's CPI data, so long as Guy Debelle,  the Assistant Governor (Financial Markets) at the Reserve Bank of Australia, doesn't throw a spanner in the bull's works. 

Aussie labour conditions:

• Total employment: 14.0k from 38.0k (revised from 42k)
• Unemployment rate: 5.6% from 5.6% (revised 5.5%)
• Participation rate: 65 from 64.9 (unrevised 64.9).

"A further sign of the overall strength of this report was the 0.5% lift in hours worked following the 1.7%mth jump in May. The annual pace for total hours worked lifted to 3.3%yr which is the fastest pace seen since Dec 2015," explained analysts at Westpac.

Australia: Great news continues for employment - TDS

AUD/USD levels

AUD/USD has eroded the top of its converging range and surged higher and analysts at Commerzbank noted that the commodity currency eroded its initial key resistance at the 0.7836/50 2016 high and Fibo. "The market is poised to encounter the 0.8018 200 week ma and then the .8162/66 May 2015 peak and 50 % retracement," the analysts argued, adding, " ... very near term, there is a 13 count on the daily chart and a TD perfected set up and we would prefer to buy the dips."